BIBLE FELLOWSHIP CENTRE, Pune V. CIT-I, Pune

ITA 1580/PUN/2013

• Counselvise Citation: [2013] 140 COUNSELVISE.COM (IT) 72493 (ITAT-PUNE)
• Duration Of Justice: 4 month(s) 18 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 31-12-2013
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: misc
• Appeal Filed On: 13-08-2013
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: S K SINGH
• Section: 12A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH B, PUNE BEFORE SHRI SHAILENDRA KUMAR YADAV, JUDICIAL MEMBER, AND SHRI R.K. PANDA, ACCOUNTANT MEMBER ITA NO.1580/PN/2013 BIBLE FELLOWSHIP CENTRE A-202, LUNKAD HERITAGE VIMAN NAGAR, PUNE APPELLANT VS. CIT-I, PUNE RESPONDENT APPELLANT BY : SHRI S.N. P URANIK RESPONDENT BY : SHRI S.K . SINGH DATE OF HEARING: 31.12.2013 DATE OF ORDER : 31.12.2013 ORDER PER SHAILENDRA KUMAR YADAV, J.M: THIS APPEAL HAS BEEN FILED BY THE ASSESSEE AGAINST THE ORDER OF COMMISSIONER OF INCOME TAX-I, [SHORT CIT-I] PUNE , DATED 18.04.2012 ON THE FOLLOWING GROUNDS. 1. HONOURABLE COMMISSIONER OF INCOME TAX-I IS ERR ED IN REJECTING THE APPLICATION AND NOT GRANTING THE REGISTRATION U/S 12A OF INCOME TAX ACT. 2. APPELLANT PRAYS FOR JUST & EQUITABLE RELIEF. 3. APPELLANT PRAYS TO ADD, ALTER, AMEND AND/ OR WITHDR AW THE GROUND/S DURING THE COURSE OF PROCEEDINGS. 2. AT THE OUTSET OF HEARING, LEARNED AUTHORIZED REP RESENTATIVE POINTED OUT THAT THE DELAY IN FILING THE APPEAL, WH ICH IS CLAIMED TO BE ATTRIBUTABLE TO THE CONCERNED AUTHORIZED REPRESE NTATIVE AS HE DID NOT ADVISE THE TRUSTEE TO FILE AN APPEAL BEFORE INCOME TAX APPELLATE TRIBUNAL U/S.12A OF I.T. ACT DUE TO IGNOR ANCE ON HIS 2 PART AND HE WAS NOT TECHNICALLY SOUND ON SUBJECT. IT IS A SETTLED LEGAL POSITION THAT THE ASSESSEE SHOULD NOT SUFFER FOR THE FAULT OF AUTHORIZED REPRESENTATIVE. SO, IN THE INTEREST OF JUSTICE, WE CONDONE THE DELAY IN QUESTION. 2.1 THE ISSUE ON MERIT IS WITH REGARD TO REJECTION OF GRANTING REGISTRATION U/S.12A, CIT FOUND THAT THE ASSESSEE T RUSTEE HAS EXPENDED MORE THAN 5% OF ITS RECEIPTS ON RELIGIOUS ACTIVITIES AS PER THE INCOME & EXPENDITURE ACCOUNT FOR THE YEAR E NDED 31.03.2009 AND 31.03.2010. IT WAS ALSO NOTICED THA T THE OBJECTS OF TRUST ARE PRIMARILY RELIGIOUS IN NATURE AND THE TRUST ACTIVITIES ARE CONDUCTED IN FAVOUR OF A PARTICULAR COMMUNITY. IN VIEW OF ABOVE, REGISTRATION WAS REJECTED U/S.12A OF I.T. AC T. 2.2 BEFORE US, THE ISSUE IS REGARDING REJECTION OF REGISTRATION U/S.12A. ARGUMENTS OF LEARNED AUTHORIZED REPRESENT ATIVE IS THAT CONDITION OF EXPENSES MORE THAN 5% OF THE RECEIPTS ON RELIGIOUS ACTIVITIES IS VIS--VIS GRANTING EXEMPTION U/S.80G, BUT REGISTRATION U/S.12A DOES NOT PUT SUCH CONDITION. REGISTRATION U/S.12A HAS TO BE GRANTED IN ITS OWN FACTS AND CIRC UMSTANCES, ACCORDINGLY, THE ORDER OF CIT BE CANCELLED. ON THE OTHER HAND, LEARNED DEPARTMENTAL REPRESENTATIVE HAS SUPPORTED T HE ORDER OF CIT REJECTING REGISTRATION U/S.12A. 2.3 AGREEING TO THE CONTENTION OF THE AUTHORIZED RE PRESENTATIVE, WE FIND THAT CONDITION OF EXPENSES OF MORE THAN 5% OF THE RECEIPTS OF RELIGIOUS ACTIVITY IS APPLICABLE FOR CL AIM OF EXEMPTION U/S.80G BUT THE SAME CANNOT BE IMPORTANT FOR REGIST RATION U/S.12A AS SUCH. BOTH THE PROVISIONS HAVE APPLICAT ION IN ITS OWN SPHERES. SO, IN THE INTEREST OF JUSTICE, WE RESTOR E THE MATTER TO THE FILE OF CIT FOR ADJUDICATING THE ISSUE OF REGIS TRATION U/S.12A AS PER FACT AND LAW AFTER PROVIDING THE DUE OPPORTU NITY OF HEARING TO THE ASSESSEE. SINCE WE ARE RESTORING THE ISSUE TO CIT ON 3 PRELIMINARY ISSUE, WE ARE REFRAINING FROM COMMENTIN G ON THE MERIT OF THE ISSUE AT HAND. 3. IN THE RESULT, APPEAL FILED BY THE ASSESSEE IS A LLOWED FOR STATISTICAL PURPOSES. PRONOUNCED IN THE OPEN COURT ON THIS THE 31 ST DAY OF DECEMBER, 2013. SD/- SD/- (R.K. PANDA) (SHAILENDRA KUMAR YADAV ) ACCOUNTANT MEMBER JUDICIAL MEMBER PUNE, DATED: 31 ST DECEMBER 2013 GCVSR COPY TO:- 1) ASSESSEE 2) DEPARTMENT 3) THE CIT-I, PUNE 4) THE DR, B BENCH, I.T.A.T., PUNE. 5) GUARD FILE BY ORDER //TRUE COPY// SENIOR PRIVATE SECRETARY, I.T.A.T., PUNE